BUTTER PRICES

Evening Post, Volume CII, Issue 37, 12 August 1921, Page 7

BUTTER PRICES

DISCONTINUANCE OF SUBSIDY

WHOLESALE AND RETAIL

VALUES,

The following official statement concerning butter prices was issued by the Minister of Agriculture (the Hon. W. Nosworthy) last night:—

"The Minister of- Agriculture (the Hon. W. Nosworthy) attended a conference ob 10th August of representatives of butter manufacturers throughout the Dominion. The Director-General of Agriculture and the Controller of the Imperial Supplies Department were also present. A general discussion took place, covering the question of local butter supplies in all its aspects, together with various points which had arisen in connection with' the arrangements at present in force, and as regards these points, a satisfactory, agreement was arrived at as a result of discussion, later in the day, with the Departmental officers concerned.

"In the matter of local butter supplies, after the present price-fixing agreement terminates on the 31st August, the Minister finally announced that as from Ist September,, the payment of a, subsidy to keep retail prices at their present level would cease and the butter factories would be given a free market. He made it clear that the present financial position was such that a continuance of the subsidy was entirely unwarrantable, and that local prices must find their own level, though it was necessary for factories to sell at no more than a fair and proper price, having regard to current market values. As regards retail prices to the public as compared with wholesale values, that matter would receive attention, especially in view of what had happened on a previous occasion. This announcement met with the full approval of the dairy factory 1 epresentatives, who themselves desired open market conditions, and they expressed their intention to do their best to aid in making the new order of things work smoothly in the interests of consumers."